City Whitewashes Turbulent History of Affordable Housing in Hercules
— by Jeffrey Wisniewski — 25 November 2009 — 3 comments below »
Earlier this decade, the then manager of the City’s Affordable Housing agency — Darrick Jonathan Chavis, a former city employee — was arrested by the FBI and IRS on multiple counts of fraud, as part of a “scheme to bilk the City of Hercules out of $390,494,” using the financial vehicles that still exist today, however modified slightly. None of this information made its way into the history of affordable housing in the Redevelopment Agency’s latest newsletter. (The City hired current City Manager Nelson Oliva as an outside consultant to revive the program in 2003 following these events.)
The newsletter is, I guess, what Councilmember Don Kuehne was referring to when he said the City would be duly responding to the questions raised regarding the affordable housing agency run by NEO Consulting.
Much of the newsletter reads as a defense of the practice of affordable housing assistance, and did not respond — directly or indirectly — to the continued scrutiny of the program centered around questionable dealings and the agency’s administration, not the value added in affordable housing.
A few items worth noting in the table of delivered affordable housing units in the newsletter (page 9)…
- Promenade was supposed to deliver 33 units, but delivered none.
- The live-work units on Railroad Avenue were to deliver three, but delivered none.
- Bayside was supposed to deliver 50 units, but these will be concentrated instead at Sycamore North/Downtown.
- Hilltown will be slated to deliver 96, but based on City discussions with the developer, those units may be “sold” and alternately be constructed at Sycamore Crossing. Hilltown therefore, often labeled as a proposed mixed-use development, will be anything but — zero commercial, and only market-rate homes (no mixed-income demographic).
I believe that affordable housing programs work when families are “pulled up” by the surrounding community (and not “pushed down” in less than desirable circumstances). When affordable housing is isolated or clustered, the potential for the critical aspect of osmosis is greatly diminished. Affordable housing should be spread evenly through neighborhoods and the city to ensure successful, sustainable communities.
All good points regarding whitewashing Neogate, the unfulfilled affordable housing requirement breakdown by neighborhood, and the big (as of yet) unanswered question: Is concentrating affordable housing all into one area a good idea?
Thanks Jeff.
Logic and a well thought out argument. Is that all you got?
Richard Davis
The city elected officials and staff have yet to respond to questions posed by residents regarding city finances and contracting practices. Serious allegations have been raised in the press and withiin the community. Yet from city hall, nothing other than a glossy, self promoting brochure no doubt funded by the taxpayers that does NOTHING to address the central questions raised. NOTHING, Mr. Kuehne, has been answered. There was great hope that you would be more independent of the entrenched politicos that run this city like it is their personal fiefdom. You have been a disappointment, as much part of the problem as the other elected officials who need to be shown the door.
We have a local government that is unresponsive to its constituents. This in itself is completely unacceptable, whether the allegations prove true or false.
People, we need change at city hall.